As a result of price increases, tax rates need to be adjusted as inflation sets in. Furthermore, if there is a large income, there will be a large tax. In this case, purchasing power is reduced. A state indexation can be implemented if necessary, depending on the situation on the market, in order to correct it in a positive direction, to avoid a crash and serious consequences. The changes will affect benefits, discounts, minimum wages, and taxes. Meanwhile, tax rates are raised to slow down price increases, both sharp and slow. In order to avoid galloping prices, and their dispersion, all of this works in conjunction with the ability of the population to purchase goods. In an example, it can be demonstrated that an individual with a certain income falls into one category and the other into the opposite category. In this case, the percentage of the restriction will be taken into account. The result of indexing will be displayed on the face. There is an income tax, it is indexed for inflation, as such. The indexation of wages, pensions, and social benefits must be considered when discussing the increase in prices of consumer goods, services, and products. There is an article in the Russian Constitution that guarantees wages in the country. For this, there are regulations in accordance with Article 134 of the Labor Code of the Russian Federation. Therefore, with inflation, there is a requirement to index, both for state employees, pensioners, and other categories of the population, regulated by industry relations. Similarly, the employer will make a decision based on the circumstances. Indexing is the result. As a result, there is an income tax and an indexing for inflation.

Tax indexation is a method used by governments to adjust tax brackets, exemptions, and deductions for inflation, ensuring taxpayers are not pushed into higher tax brackets solely due to rising prices rather than real income growth. By linking tax parameters to an inflation index (like the Consumer Price Index), indexation prevents "bracket creep," where inflation increases nominal incomes without improving purchasing power, leading to higher tax liabilities. This system maintains fairness by taxing real income rather than inflationary gains. Indexation can apply to income taxes, capital gains taxes, and other fiscal measures. For example, if tax brackets are adjusted annually for inflation, individuals whose wages only keep pace with inflation won’t face higher tax rates, preserving their disposable income and economic stability.